SCOTLAND cannot allow a handful of people to make key decisions about Scotland's natural assets, a new paper has warned.
Economic and legal experts explored how best to help manage Scotland’s natural capital as investor interest in acquiring land for carbon offsetting continues to grow.
Natural capital is described as renewable and non-renewable stocks of natural assets, including geology, soil, air, water, plants and animals that combine to benefit the people on the land.
Commissioned by the Scottish Land Commission, the latest Land Lines discussion papers analyse the current state of Scotland’s carbon market and offer suggestions for ensuring that major changes to the use of land have positive environmental outcomes, and that landowners and developers collaborate with local communities.
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The authors said that Scotland cannot afford to allow a small number of actors to make the key decisions about natural capital which will affect everyone in the nation for decades to come.
The papers conclude that pre-emptive policy interventions are needed to ensure carbon markets make a positive contribution to the just transition to net zero.
Written by Oxford University economics professor Sir Dieter Helm and Glasgow University's Dr Jill Robbie and Dr Giedre Jokubauskaite, the paper says communities should have a say over what happens to their land.
The experts said: "Tackling climate change through reducing emissions is one of the most important and urgent challenges facing humanity.
"Carbon markets have been celebrated as providing incentives for private actors to fund necessary land use change which results in carbon sequestration or reduced emissions, in light of the limited resources of government.
"However, the broader environmental and social impacts of market-based solutions to the climate crisis must also be carefully analysed in order to ensure a just transition to net zero.
"Due to the unequal distribution of rural land in Scotland and the historic exclusion of local communities from decision-making in relation to land, there is a risk that carbon markets will exacerbate existing inequalities."
The academics added that tackling one environmental challenge should not create further damage to existing habitats and ecosystems.
They continued: "Land use will have to change in a rapid, large-scale and unprecedented way in order for Scotland to reach the net zero target by 2045.
"The decisions we make in relation to natural capital now will have long term consequences for the countryside and the people living there.
"We cannot afford to allow a handful of private actors to make the key decisions about natural capital which will affect everyone in Scotland for decades to come.
"Therefore, pre-emptive policy interventions are necessary to ensure that carbon markets make a positive contribution to the transition to sustainability."
The papers suggest new regulations on carbon markets and support for community involvement.
Among its recommendations include an increase in oversight and monitoring of the environmental impacts of carbon markets, implementing an ecosystem approach to carbon projects and offering support and advice to local people on how to implement community-led carbon projects.
Hamish Trench, chief executive of the Scottish Land Commission, said: “The new papers are incredibly helpful in stimulating the debate surrounding the land and carbon market within Scotland.
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“Through commissioning leading experts in the field to draft these papers, the reports show there is much to be learned from considering wider legal and economic principles to help shape Scotland’s approach to harnessing the value of carbon and natural capital effectively.
“We’re hoping that the discussion papers, combined with the online events, will give the public a better understanding of the issues facing Scotland’s land and spark important discussions.
“Land plays a role in every aspect of everyday Scotland and part of our role at the Scottish Land Commission is to stimulate and inform discussion on how we make the most of it.”
To find out more about the Scottish Land Commission’s Natural Capital and Land online events, visit: https://www.landcommission.gov.scot/events
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